Gold markets showed little movement on Wednesday as investors anxiously awaited announcements from the U.S. Federal Reserve regarding a potential interest rate cut. While spot gold held steady at $2,571.28 Once again, all eyes are on a decision that could redefine future market trends.
Also read: Investors are holding their breath, a complicated day is coming!
The evolution of gold prices
Gold hit its highest level at $2,589.59 Monday, and U.S. gold futures posted a slight increase of 0.2%reaching $2,597.60This stability in prices reflects the markets’ expectations regarding the Fed’s decision, scheduled for later in the day, at 18:00 GMT.
Fed Chairman, Jerome Powellwill then speak at a press conference, an event that attracts the attention of all financial analysts.
What is the price of a gold bar today? | ||||
| Price of gold per gram per carat | Price/g | |||
| 999 gold | 999.9 ‰ | or 24 carats | 74,3196 | € |
| Gold 917 | 917 ‰ | or 22 carats | 68,1579 | € |
| 900 gold | 900 ‰ | or 21.6 carats | 66,8943 | € |
| 750 gold | 750 ‰ | or 18 carats | 55,7453 | € |
| Gold 585 | 585 ‰ | or 14 carats | 43,4813 | € |
| Gold 375 | 375 ‰ | or 9 carats | 27,8726 | € |
| Gold 333 | 333 ‰ | or 8 carats | 24,7509 | € |
| GOLD | teeth | or 2% | 14,8654 | € |
| (Prices constantly changing – Sources Bdor.fr) | ||||
Investors’ forecasts
According to the tool FedWatch of CMEthe markets currently estimate at 65% the chances of a rate cut 50 basis pointsa probability that has increased sharply compared to only 34% last week. Some analysts remain cautious, warning of a overly pessimistic reaction of the market. According to one expert, such an interpretation could strengthen the dollar and increase yields, putting pressure on gold.
However, gold remains an attractive investment in a low interest rate environment, with investors seeking a safe haven in times of economic or geopolitical uncertainty.
US and World Economic Figures
Recent economic data released in UNITED STATES show an unexpected rise in retail sales, with an increase of 0.1% in August. This indicates that the US economy remains strong despite an uncertain global environment, particularly in the second half of the year.
At Middle Eastgeopolitical tensions are also at the heart of concerns. The Hezbollah recently promised retaliation against Israelafter accusing the latter of being behind the explosions that rocked the Lebanon Tuesday, causing thousands of injuries and nine tragic deaths.
The physical gold market
In the physical market, theIndia saw its gold imports explode in August, reaching $10.06 billiona spectacular increase compared to $3.13 billion from the previous month. This growing demand reinforces gold’s position as a sought-after asset in several regions of the world, particularly in Asia.
Other impacted metals
Other precious metals followed mixed trajectories. Spot silver fell nearly 1% to reach $30.42 per ounce, while platinum fell slightly to $979.85Palladium, for its part, has lost 0.6% to reach $1,109.42.
